Commscope Holdings (COMM) Soars to New High on $10.5-Billion Sale of CCS Business
We recently published 10 Stocks Surprise With Double-Digit Gains; 4 Hit Record Highs. Commscope Holding Company Inc. (NASDAQ:COMM) is one of the companies that stood stronger last week.
Commscope soared to a new all-time high on Monday, almost doubling its share price in the previous trading day, as investors gobbled up shares following announcements that it would sell its connectivity and cable solutions (CCS) business for $10.5 billion.
During the session, Commscope Holding Company Inc. (NASDAQ:COMM) touched a new all-time high of $15.15, marking a 94.5-percent jump from the $7.79 close on Friday, before slight profit-taking persisted to end the day just up by 86.26 percent at $14.51.
In a statement, Commscope Holding Company Inc. (NASDAQ:COMM) said that it entered into a definitive agreement with Amphenol Corporation (NYSE: APH) for an all-cash sale of its CCS segment.
Subject to regulatory and shareholder approvals and other closing conditions, the sale is expected to close within the first half of 2026.
According to Commscope Holding Company Inc. (NASDAQ:COMM), the sale would allow the company to hold a significant excess cash, part of which will be shared with its shareholders in the form of dividends within 60 to 90 days upon closing of the transaction. The exact amount and timing of the dividend will be determined by the Company after closing and after taking into account all relevant factors.
Copyright: limonzest / 123RF Stock Photo
In other news, Commscope Holding Company Inc. (NASDAQ:COMM) reported mixed results in its second-quarter earnings performance, with net income attributable to shareholders dropping 48 percent to $14.7 million from the $28.2 million in the same period last year, and net sales jumping 31.8 percent to $1.39 billion from $1.05 billion year-on-year.
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